Each year, our team collects over 2,000 data points and scrutinizes services to rank the best extended warranty coverage out there. Our process includes secret shopping for a variety of quotes on different vehicles, analyzing quality and plan options, and evaluating contract transparency.
After our analysis, we create a score in each review category based on our methodology. We also keep our data current by refreshing quotes, plan information, customer reviews, and more throughout the year. You can learn more about each review category below.
Warranty providers with a history of strong business practices and endorsements from experts receive the highest scores in this category. We look at the longevity of a company, its availability by state, partnerships with industry leaders like RepairPal and CARFAX, and Better Business Bureau (BBB) ratings.
Focused on overall coverage quality, this rating is based on types of extended warranty plans, coverage term length, and added benefits like roadside assistance. A provider scores well if it offers more than three plans and mileage limits over 150,000 miles. Because it’s uncommon in the industry, coverage for maintenance items like brake pads is also noted.
The overall cost of coverage is one of the most significant factors that impact customers’ decisions about buying an extended warranty. The review score for cost is determined by comparing the price per year of coverage from various providers, with higher scores being awarded for lower average rates.
To accurately estimate warranty pricing information, our research team reviews sample quotes for a variety of plans and vehicles. This data is compiled from over 140 individual quotes we received from different companies for a range of plans and payment options. We present example quotes in this article, but be aware that you may find different prices based on personal factors like vehicle type, provider, length, and level of coverage.
Transparency is an important quality to look for in extended warranty providers. Some companies make it easy to find sample contracts and read the fine print, while others make it difficult. Our transparency score takes into account sample contract accessibility as well as the presence of a 30-day money-back guarantee.
Great coverage options and prices mean nothing if the company lacks good customer service. We comb through customer reviews and perform our own shopper analysis to get a sense of the responsiveness and helpfulness of each warranty company. When speaking to representatives, our researchers assess issues like whether agents are more likely to explain coverage or are focused only on making a sale.
Extended Warranty Customer Review Categories
How we weigh each of these categories to determine the overall score is influenced by a survey conducted by our research team. To complete the survey, we polled 1,000 consumers who have bought or thought about purchasing an extended warranty.
Which factors are most important to consumers when purchasing an extended warranty? Most respondents answered that coverage was the most important factor.
Below are the top five factors most important to extended warranty customers:
- Coverage (52 percent)
- Cost (19 percent)
- Customer service (13 percent)
- Transparency (10 percent)
- Industry standing (5 percent)
Of those who had extended warranties (whether they had used coverage or not), 65 percent of respondents were satisfied, and 13 percent of respondents were dissatisfied to some degree.